Bitwise CIO Matt Hougan, Ethereum $3,870.3 He stated that innovations in the ecosystem could put the platform ahead of its rival Solana in 2025. Hougan said, “The perception that Ethereum is slow and expensive is changing thanks to Layer-2 technologies. “This development increases the scalability and ease of use of Ethereum,” he said.
Layer-2 Technology Supports Ethereum
Layer-2 networks in the Ethereum ecosystem increase the attractiveness of the platform for both developers and users. Hougan stated that these technologies solved Ethereum’s scalability problems and made it competitive with Solana. “Layer-2 networks are transforming the Ethereum ecosystem, and this is proven in real time,” said Hougan, noting that the effects of the innovations are already felt.
The platform stands out in artificial intelligence (AI) and decentralized finance (DeFi) projects. Projects like Clanker and Virtuals show that Ethereum offers an infrastructure that is both innovative and focused on ease of use. According to Hougan, such projects allow Ethereum to reach a wider audience while maintaining its strong infrastructure. In particular, preserving its corporate reputation and increasing ease of use makes Ethereum attractive to a wider investor base.
Solana Reached the Top of the Developer Ecosystem
The report published by Electric Capital reveals the growth in the number of developers of Solana. According to the report, the platform recorded an 83% increase in the number of monthly active developers in 2023, surpassing Ethereum in this field. This shows that Solana has become a leading ecosystem for new developers.
However, Hougan argues that Ethereum will maintain its leadership with the advantages offered by Layer-2 technology. “Ethereum proves its flexibility with the infrastructure it provides for artificial intelligence and DeFi projects. “With its Layer-2 developments, it creates a more cost-effective and user-friendly platform,” he added.
According to VanEck’s prediction, Ethereum’s Layer-2 integration and staking infrastructure could push the platform’s price above $6,000 in 2025. Although Solana will also reach new heights, it is predicted that the innovations offered by Ethereum will attract more investors.
Ethereum’s growing Layer-2-powered ecosystem could propel the platform to further leadership in the blockchain space. Its emphasis on AI and DeFi continues to demonstrate Ethereum’s capacity for innovation.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
